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2010/05/18 HDL Software, LLC Business License Program PROFESSIONAL SERVICES AGREEMENT THIS AGREEMENT for Professional Services ("Agreement") is made this 18th day of May, 2010 ("Effective Date") by and between the City of Menifee ("City") and HdL Software, LLC ("Consultant") (together sometimes referred to as the "Parties"). Section 1. SERVICES. Subject to the terms and conditions set forth in this Agreement, Consultant shall provide to City the services described in the Scope of Work attached as Exhibit A, and incorporated here. Such work shall be provided at the time and place and in the manner specified in Exhibit A. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit A,this Agreement shall prevail. 1.1 Term of Services. The term of this Agreement shall begin on the Effective Date and shall continue until either party cancels the Agreement as set out in Section 8 hereof. 1.2 Standard of Performance. Consultant shall perform all services required pursuant to this Agreement in the manner and according to the standards observed by a competent practitioner of the profession in which Consultant is engaged in the geographical area in which Consultant practices its profession and to the sole satisfaction of the Contract Administrator. 1.3 Assignment of Personnel. Consultant shall assign only competent personnel to perform services pursuant to Agreement. In the event that City, in its sole discretion, at any time during the term of this Agreement, desires the reassignment of any such persons, Consultant shall, immediately upon receiving notice from City of such desire of City, reassign such person or persons. 1.4 Time. Consultant shall devote such time to the performance of services pursuant to this Agreement as may be reasonably necessary to satisfy Consultant's obligations hereunder. 1.5 Authorization to Perform Services. The Consultant is not authorized to perform any services or incur any costs whatsoever under the terms of this Agreement until receipt of authorization from the Contract Administrator. Section 2. COMPENSATION. City hereby agrees to pay Consultant a sum not to exceed $20,000 notwithstanding any contrary indications that may be contained in Consultant's proposal, for services to be performed plus reimbursable costs incurred under this Agreement. The schedule for reimbursable costs and the hourly rates for the cost to convert data or provide custom reports is set out in Exhibit A. In the event of a conflict between this Agreement and Exhibit A, regarding the amount of compensation, this Agreement shall prevail. City shall pay Consultant for services rendered pursuant to this Agreement at the time and in the manner set Professional Services Agreement with HdL Software 1 of 12 forth herein. The payments specified below shall be the only payments from City to Consultant for services rendered pursuant to this Agreement. Consultant shall submit all invoices to City in the manner specified herein. Except as specifically authorized in advance by City, Consultant shall not bill City for duplicate services performed by more than one person or for additional services as set out on Exhibit A. 2.1 Invoices. Consultant shall submit invoices monthly during the term of this Agreement, based on the cost for services performed and reimbursable costs incurred prior to the invoice date. Invoices shall contain the following information: • Serial identifications of progress bills; i.e., Progress Bill No. 1 for the first invoice, etc., • The beginning and ending dates of the billing period; • A Task Summary containing the original contract amount, the amount of prior billings, the total due this period, the balance available under the Agreement, and the percentage of completion; • At City's option, for each work item in each task, a copy of the applicable time entries or time sheets shall be submitted showing the name of the person doing the work, the hours spent by each person, a brief description of the work, and each reimbursable expense; • The total number of hours of work performed under the Agreement by Consultant and each employee, agent, and subcontractor of Consultant performing services hereunder necessary to complete the work described in Exhibit A; • Receipts for expenses to be reimbursed; • The Consultant's signature. 2.2 Monthly Payment. City shall make monthly payments, based on invoices received, for services satisfactorily performed, and for authorized reimbursable costs incurred. City shall have 30 days from the receipt of an invoice that complies with all of the requirements above to pay Consultant. 2.3 Intentionally omitted 2.4 Total Payment. Except as set out here, City shall not pay any additional sum for any expense or cost whatsoever incurred by Consultant in rendering services pursuant to this Agreement. City shall make no payment for any extra, further, or additional service pursuant to this Agreement(See Exhibit A). In no event shall Consultant submit any invoice for an amount in excess of the maximum amount of compensation provided above either for a task or for the Professional Services Agreement with HdL Software 2 of 12 entire Agreement, unless the Agreement is modified in writing prior to the submission of such an invoice. 2.5 Hourly Fees. Fees for work performed by Consultant on an hourly basis shall not exceed the amounts shown on the fee schedule included with Exhibit A. 2.6 Reimbursable Expenses. Reimbursable expenses are in addition to the amount set out and shall be billed only in the amounts provided in Exhibit A. Payment of Taxes. Consultant is solely responsible for the payment of employment taxes incurred under this Agreement and any federal or state taxes. 2.8 Payment upon Termination. In the event that the City or Consultant terminates this Agreement pursuant to Section 8,the City shall compensate the Consultant for all outstanding costs and reimbursable expenses incurred for work satisfactorily completed as of the date of written notice of termination. Consultant shall maintain adequate logs and timesheets in order to verify costs incurred to that date. 2.9 Additional Services: HdL shall honor the discounts set out in its letter of May 10, 2010 attached and incorporated as Exhibit B, should City determine to purchase future services, including but not limited to a software license and/or maintenance. Section 3. FACILITIES AND EQUIPMENT. Except as otherwise provided, Consultant shall, at its sole cost and expense, provide all facilities and equipment necessary to perform the services required by this Agreement. City shall make available to Consultant only physical facilities such as desks, filing cabinets, and conference space, as may be reasonably necessary for Consultant's use while consulting with City employees and reviewing records and the information in possession of the City. The location, quantity, and time of furnishing those facilities shall be in the sole discretion of City. In no event shall City be required to furnish any facility that may involve incurring any direct expense, including but not limited to computer, long-distance telephone or other communication charges, vehicles, and reproduction facilities. Section 4. INSURANCE REQUIREMENTS. Before beginning any work under this Agreement, Consultant, at its own cost and expense, shall procure the types and amounts of insurance checked below and provide Certificates of Insurance, indicating that Consultant has obtained or currently maintains insurance that meets the requirements of this section and which is satisfactory, in all respects, to the City. Consultant shall maintain the insurance policies required by this section throughout the term of this Agreement. The cost of such insurance shall be included in the Consultant's compensation. Consultant shall not allow any subcontractor to commence work on any subcontract until Consultant has obtained all insurance required herein for the subcontractor(s) and provided evidence thereof to City. Verification of the required insurance shall be submitted and made part of this Agreement prior to execution. Professional Services Agreement with HdL Software 3 of 12 4.1 Workers' Compensation. Consultant shall, at its sole cost and expense, maintain Statutory Workers' Compensation Insurance and Employer's Liability Insurance for any and all persons employed directly or indirectly by Consultant. The Statutory Workers' Compensation Insurance and Employer's Liability Insurance shall be provided with limits of not less than ONE MILLION DOLLARS ($1,000,000.00)per accident. In the alternative, Consultant may rely on a self- insurance program to meet those requirements, but only if the program of self- insurance complies fully with the provisions of the California Labor Code. Determination of whether a self-insurance program meets the standards of the Labor Code shall be solely in the discretion of the Contract Administrator. The insurer, if insurance is provided, or the Consultant, if a program of self-insurance is provided, shall waive all rights of subrogation against the City and its officers, officials, employees, and authorized volunteers for loss arising from work performed under this Agreement. 4.2 Commercial General Automobile Liability Insurance. 4.2.1 General requirements. Consultant, at its own cost and expense, shall maintain commercial general and automobile liability insurance for the term of this Agreement in an amount not less than ONE MILLION DOLLARS ($1,000,000.00)per occurrence, combined single limit coverage, for risks associated with the work contemplated by this Agreement. If a Commercial General Liability Insurance or an Automobile Liability form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the work to be performed under this Agreement or the general aggregate limit shall be at least twice the required occurrence limit. Such coverage shall include but shall not be limited to, protection against claims arising from bodily and personal injury, including death resulting therefrom, and damage to property resulting from activities contemplated under this Agreement, including the use of owned and non-owned automobiles. 4.2.2 Minimum scope of coverase. Commercial general coverage shall be at least as broad as Insurance Services Office Commercial General Liability occurrence form CG 0001 or GL 0002 (most recent editions) covering comprehensive General Liability and Insurance Services Office form number GL 0404 covering Broad Form Comprehensive General Liability. Automobile coverage shall be at least as broad as Insurance Services Office Automobile Liability form CA 0001 (ed. 12/90) Code 8 and 9. No endorsement shall be attached limiting the coverage. 4.2.3 Additional requirements. Each of the following shall be included in the insurance coverage or added as a certified endorsement to the policy: Professional Services Agreement with HdL Software 4 of 12 a. The insurance shall cover on an occurrence or an accident basis, and not on a claims-made basis. b. Any failure of Consultant to comply with reporting provisions of the policy shall not affect coverage provided to City and its officers, employees, agents, and volunteers. 4.3 Professional Liability Insurance. 4.3.1 General requirements. Consultant, at its own cost and expense, shall maintain for the period covered by this Agreement professional liability insurance for licensed professionals performing work pursuant to this Agreement in an amount not less than ONE MILLION DOLLARS ($1,000,000) covering the licensed professionals' errors and omissions. Any deductible or self-insured retention shall not exceed$150,000 per claim. 4.3.2 Claims-made limitations. The following provisions shall apply if the professional liability coverage is written on a claims-made form: a. The retroactive date of the policy must be shown and must be before the date of the Agreement. b. Insurance must be maintained and evidence of insurance must be provided for at least five years after completion of the Agreement or the work, so long as commercially available at reasonable rates. C. If coverage is canceled or not renewed and it is not replaced with another claims-made policy form with a retroactive date that precedes the date of this Agreement, Consultant must provide extended reporting coverage for a minimum of five years after completion of the Agreement or the work. The City shall have the right to exercise, at the Consultant's sole cost and expense, any extended reporting provisions of the policy, if the Consultant cancels or does not renew the coverage. d. A copy of the claim reporting requirements must be submitted to the City prior to the commencement of any work under this Agreement. Professional Services Agreement with HdL Software 5 of 12 4.4 All Policies Requirements. 4.4.1 Acceptability of insurers. All insurance required by this section is to be placed with insurers with a Bests'rating of no less than ANII. 4.4.2 Verification of coverage. Prior to beginning any work under this Agreement, Consultant shall furnish City with Certificates of Insurance, and upon request, complete certified copies of all policies, including complete certified copies of all endorsements. All copies of policies and certified endorsements shall show the signature of a person authorized by that insurer to bind coverage on its behalf. 4.4.3 Notice of Reduction in or Cancellation of Coverage. A certified endorsement shall be attached to all insurance obtained pursuant to this Agreement stating that coverage shall not be suspended, voided, canceled by either party, or reduced in coverage or in limits,except after thirty (30) days'prior written notice by certified, mail, return receipt requested,has been given to the City. In the event that any coverage required by this section is reduced, limited, cancelled, or materially affected in any other manner, Consultant shall provide written notice to City at Consultant's earliest possible opportunity and in no case later than ten(10)working days after Consultant is notified of the change in coverage. 4.4.4 Additional insured; primary insurance. City and its officers, employees, agents, and authorized volunteers shall be covered as additional insureds with respect to each of the following: liability arising out of activities performed by or on behalf of Consultant, including the insured's general supervision of Consultant; products and completed operations of Consultant, as applicable; premises owned, occupied, or used by Consultant; and automobiles owned, leased, or used by the Consultant in the course of providing services pursuant to this Agreement. The coverage shall contain no special limitations on the scope of protection afforded to City or its officers, employees, agents, or authorized volunteers. A certified endorsement must be attached to all policies stating that coverage is primary insurance with respect to the City and its officers, officials, employees and volunteers, and that no insurance or self- insurance maintained by the City shall be called upon to contribute to a loss under the coverage. 4.4.5 Deductibles and Self-insured Retentions. Consultant shall disclose to and obtain the approval of City for the self-insured retentions and deductibles before beginning any of the services or work called for by any term of this Agreement. Professional Services Agreement with HdL Software 6 of 12 During the period covered by this Agreement, only upon the prior express written authorization of Contract Administrator, Consultant may increase such deductibles or self-insured retentions with respect to City, its officers, employees, agents, and volunteers. The Contract Administrator may condition approval of an increase in deductible or self-insured retention levels with a requirement that Consultant procure a bond guaranteeing payment of losses and related investigations, claim administration, and defense expenses that is satisfactory in all respects to each of them. 4.4.6 Subcontractors. Consultant shall include all subcontractors as insureds under its policies or shall furnish separate certificates and certified endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the requirements stated herein. 4.4.7 Variation. Contract Administrator may approve in writing a variation in the foregoing insurance requirements, upon a determination that the coverage, scope, limits, and forms of such insurance are either not commercially available, or that the City's interests are otherwise fully protected. 4.5 Remedies. In addition to any other remedies City may have if Consultant fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time herein required, City may, at its sole option, exercise any of the following remedies, which are alternatives to other remedies City may have and are not the exclusive remedy for Consultant's breach: • Obtain such insurance and deduct and retain the amount of the premiums for such insurance from any sums due under the Agreement; • Order Consultant to stop work under this Agreement or withhold any payment that becomes due to Consultant hereunder, or both stop work and withhold any payment, until Consultant demonstrates compliance with the requirements hereof, and/or • Terminate this Agreement. Section 5. INDEMNIFICATION Consultant shall indemnify, defend with counsel selected by the City and hold harmless the City and its officials, officers, employees. agents and authorized volunteers from and against any and all losses, liability, claims, suits, actions, damages and causes of action arising out of any personal injury, bodily injury, loss of life or damage to property, or any violation of any federal, state or municipal law, regulation or ordinance, to the extent caused, in whole or in part, by the Professional Services Agreement with HdL Software 7 of 12 willful misconduct or negligent acts or omissions of Consultant or its employees, subcontractors or agents, by acts for which they could be held strictly liable, The foregoing obligation of Consultant shall not apply when(1)the injury, loss of life, damage to property or violation of law arises wholly from the negligence or willful misconduct of the City or its officers, employees, agents or authorized volunteers and (2)the actions of Consultant or its employees, subcontractors or agents have contributed in no part to the injury, loss of life, damage to property, or violation of law. It is understood that the duty of Consultant to indemnify and hold harmless includes the duty to defend as set forth in Section 2778 of the California Civil Code. Acceptance by City of insurance certificates and endorsements required under this Agreement does not relieve Consultant from liability under this indemnification and hold harmless clause. This indemnification and hold harmless clause shall apply to any damages or claims for damages whether or not such insurance policies shall have been determined to apply. By execution of this Agreement, Consultant acknowledges and agrees to the provisions of this Section and that it is a material element of consideration. Section 6. STATUS OF CONSULTANT. 6.1 Independent Contractor. At all times during the term of this Agreement, Consultant shall be an independent contractor and shall not be an employee of City. City shall have the right to control Consultant only insofar as the results of Consultant's services rendered pursuant to this Agreement and assignment of personnel pursuant to Subparagraph 1.3; however, otherwise City shall not have the right to control the means by which Consultant accomplishes services rendered pursuant to this Agreement. Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Consultant and any of its employees, agents, and subcontractors providing services under this Agreement shall not qualify for or become entitled to any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California Public Employees Retirement System(PERS) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits. Section 7. LEGAL REQUIREMENTS. 7.1 Governing Law. The laws of the State of California shall govern this agreement. 7.2 Compliance with Applicable Laws. Consultant and any subcontractor shall comply with all applicable local, state and federal laws and regulations applicable to the performance of the work hereunder. 7.3 Licenses and Permits. Consultant represents and warrants to City that Consultant and its employees, agents, and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally Professional Services Agreement with HdL Software 8 of 12 required to practice their respective professions. Consultant represents and warrants to City that Consultant and its employees, agents, any subcontractors shall, at their sole cost and expense, keep in effect at all times during the term or this Agreement any licenses, permits, and approvals that are legally required to practice their respective professions. In addition to the foregoing, Consultant and any subcontractors shall obtain and maintain during the term of this Agreement valid Business Licenses from City. If City requires payment for such Permits, the associated costs will be included with the next annual maintenance invoice. Section 8. TERMINATION AND MODIFICATION. 8.1 Termination. City may cancel this Agreement at any time and without cause upon 30 days' written notification to Consultant. Consultant may cancel this Agreement upon 30 days' written notice to City and shall include in such notice the reasons for cancellation. In the event of termination, Consultant shall be entitled to compensation for services performed to the effective date of termination; City, however, may condition payment of such compensation upon Consultant delivering to City any or all documents, photographs, computer software, video and audio tapes, and other materials provided to Consultant or prepared by or for Consultant or the City in connection with this Agreement. 8.3 Amendments. The parties may amend this Agreement only by a writing signed by all the parties. 8.4 Assignment and Subcontracting. City and Consultant recognize and agree that this Agreement contemplates personal performance by Consultant and is based upon a determination of Consultant's unique personal competence, experience, and specialized personal knowledge. Moreover, a substantial inducement to City for entering into this Agreement was and is the professional reputation and competence of Consultant. Consultant may not assign this Agreement or any interest therein without the prior written approval of the Contract Administrator. Consultant shall not subcontract any portion of the performance contemplated and provided for herein, other than to the subcontractors noted in the proposal, without prior written approval of the Contract Administrator. In the event that key personnel leave Consultant's employ, Consultant shall notify City immediately. 8.5 Survival. All obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating liability between City and Consultant shall survive the termination of this Agreement. Professional Services Agreement with HdL Software 9 of 12 8.6 Options upon Breach by Consultant. If Consultant materially breaches any of the terms of this Agreement, City's remedies shall include, but not be limited to, any or all of the following: 8.6.1 Immediately terminate the Agreement; 8.6.2 Retain the plans, specifications, drawings, reports, design documents, and any other work product prepared by Consultant pursuant to this Agreement; 8.6.3 Retain a different consultant to complete the work described in Exhibit A not finished by Consultant; or Section 9. KEEPING AND STATUS OF RECORDS. 9.1 Records Created as Part of Consultant's Performance. All reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form that Consultant prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the City. Consultant hereby agrees to deliver those documents to the City upon termination of the Agreement. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this Agreement are prepared specifically for the City and are not necessarily suitable for any future or other use. City and Consultant agree that, until final approval by City, all data, plans, specifications, reports and other documents are confidential and will not be released to third parties without prior written consent of both parties unless required by law. 9.2 Consultant's Books and Records. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for services or expenditures and disbursements charged to the City under this Agreement for a minimum of three (3) years, or for any longer period required by law, from the date of final payment to the Consultant to this Agreement. 9.3 Inspection and Audit of Records. Any records or documents that Section 9.2 of this Agreement requires Consultant to maintain shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of, the City. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds Ten Thousand Dollars ($10,000.00),the Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any Professional Services Agreement with HdL Software 10 of 12 audit of the City, for a period of three (3) years after final payment under the Agreement. Section 10. MISCELLANEOUS PROVISIONS. 10.1 Attorneys' Fees. If either party to this Agreement brings any action, including an action for declaratory relief, to enforce or interpret the provision of this Agreement, the prevailing party shall be entitled to reasonable attorneys' fees and expenses in addition to any other relief to which that party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose. 10.2 Venue. In the event that either party brings any action against the other under this Agreement, the parties agree that trial of such action shall be vested exclusively in Riverside County. 10.3 Severability. If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so adjudged shall remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement. 10.4 No Implied Waiver of Breach. The waiver of any breach of a specific provision of this Agreement does not constitute a waiver of any other breach of that term or any other term of this Agreement. 10.5 Successors and Assigns. The provisions of this Agreement shall inure to the benefit of and shall apply to and bind the successors and assigns of the parties. 10.6 Consultant Representative. All matters under this Agreement shall be handled for Consultant by 10.7 City Contract Administration. This Agreement shall be administered by a City Representative ("Contract Administrator"). All correspondence shall be directed to or through the Contract Administrator or his or her designee. 10.8 Notices. Any written notice to Consultant shall be sent to: Marta Bonnin HdL Software, LLC 1340 Valley Vista Drive, Suite 200 Diamond Bar, CA 91765-3910 Professional Services Agreement with HdL Software 11 of 12 Any written notice to City shall be sent to the Contract Administrator with a copy to: City Manager City of Menifee 29714 Haun Road Menifee, CA 92586 10.9 Intentionally Omitted 10.10 Integration. This Agreement, including the scope of work attached hereto and incorporated herein as Exhibit A, represents the entire and integrated agreement between City and Consultant and supersedes all prior negotiations, representations, or agreements, either written or oral. 10.11 Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement. The Parties have executed this Agreement as of the Effective Date. CITY OF MENIFEE CONSULTANT allace gert n, May Attest: Kathy Bennett, City Clerk Approved as to Form: Karen Feld, City Attorney Professional Services Agreement with HdL Software 12 of 12 Request for Proposal—Business License Software 1, City of Menifee, California j Aprii 15, 2010 PROPOSED TECHNOLOGY All HdL Software systems use a robust data platform,supporting all editions of Microsoft SQL Server 2000 or later. All editions of Microsoft Windows 2000 or later are supported,including the upcoming Windows 7. All reporting Is accomplished through a powerful, standard reporting tool - Crystal Reports 12.5. All web-based portions of our solutions are developed using Microsoft ASP.NET. HdL Software Is currently developing an all new software suite, bringing the latest technology and numerous usability enhancements and new features to our clients. The new software suite utilizes the latest Microsoft.NET framework and Microsoft WPF for an engaging user Interface, Microsoft ASP.NET for the web interface, and Microsoft SQL Server for the database backend. To meet the varying needs of our clients,the solution will support both on-site deployment as well as an HdL hosted version. Interfacing with agency customers through low cost e-communication methods (email,website)is a primary focus of the new software suite. PROPOSED APPLICATION SOFTWARE Business License Software and Web Renewal Module: HdL's business license software was developed for auditing, managing and processing business licenses,using five cities as beta sites. After installation on the City's network,the program is ready for the City to use in the processing and tracking of business licenses. The objectives of the program are as follows: The business license software will allow the City to enforce its business license ordinance, making sure that every person and organization doing business in the City is licensed. It will also provide a system that will assist the City in assuring that businesses are operating within proper zones and that they have received the appropriate approvals and permits to operate. Approvals are frequently required from fire,police and health departments and,in certain instances,from state agencies. On an ongoing basis, the program will assist the City in identifying unlicensed businesses, Including home occupations, non-profit companies that own "for profit" businesses, and businesses within a business. The software provides a cross check with HdL's Sales Tax and Property Tax programs, as well as SB1374 (AB63) Franchise Tax Board data,if the City is a client for those services. The software contains a method to track business license inspections including the date of the Inspection, type of inspection,inspector initials,disposition and status. The software will allow the City to maintain and track all types of licensing functions,including annual licenses and those that may be issued on a daily, monthly, quarterly or semi-annual basis. It will process licenses for businesses based on any number of factors, including gross receipts, number of employees,number of coin- operated devices, and number of vehicles. Because it is a table-driven system, it can accommodate the unique rate structures of individual cities. The software will allow easy data entry of the information contained in business license applications. Based on business type and rate tables, it will calculate fees and print licenses. The program will track un-renewed licenses and print renewal notices at the end of the license period, which contain computer-generated fee calculation instructions based on business type. Delinquent notices will be generated, including the calculation of late fees and penalties. The program will create a journal entry for entering payments into the City's accounting records. The software will maintain business license history for active and closed businesses. The amount of history to be stored will be determined by the City and is dependent upon the available free space on the City's computer. It contains data fields for other needed business information,such as emergency contact,name of alarm company or security service used by the business, SIC codes, NAIL codes and number of rooms or building capacity. HdL Software, LLC Page I I Request for Proposal—Business License Software City of Menifee,California April 15,2020 Users will be able to query the data set in a variety of ways: by license number, business name,owner name, address,telephone number, vehicle license number and key word. Ad hoc queries are friendly and easy to use. The City will be able to track licenses by business types, NAIL code, SIC codes and by City-determined geographic areas. Hdl.'s Web Renewal Module will allow Taxpayers to renew their business license online via your City website. The Web module will accurately calculate fees and penalties thereby eliminating.balance dur follow up. Securely process credit card payments and process pending renewals with just a few keystrokes. HdL provides a land management module that sits behind the business license program. This module stores parcel information and allows address lookup when a street address is entered as a new license record is created. It will also bring the APN number into the record. If the City Is a client for HdL's Property Tax services, there is no cost to populate and update the land management database. If the City wishes to use any other parcel data set,there is a one-time cost to write a custom import utility. The software provides for user-defined levels of security and confidentiality. A variety of reports are available in standard format and on an ad hoc basis, including reports by business name,address,and type,and mailing labels. The software uses Crystal Reports and also contains a propriety user defined report tool. Reports and data are easily exported. Computing Environment(hardware,operating system,Import/export,Interface) Database-HdL Software systems use the Microsoft SQL Server database platform. The following versions are supported: • MS SQL Server 2000 • MS SQL Server 2005/2005 Express • MS SQL Server 2008/2008 Express Requires 1 gigabyte of disk space to accommodate the initial data set. PC CPU 600 Mhz or better Memory128 MB Ram Video 1024068, 16 bit color OS MS Windows 2000/XP Pro/Vista Data Import/Export Reports can be exported In a variety of formats using the Crystall reports export functionality. And raw data can be exported using a built in point&click export data user interface. HdL has built Sales Tax,Property Tax and Franchise Tax Board links that support importing data for the purpose of identifying unlicensed businesses. REPORTING All of HdL's software programs have a variety of reports that are available In standard format and on an ad hoc basis, including reports by business name, address, and type, and mailing labels. The software uses Crystal Reports and also contains a propriety user defined report tool. Reports and data are easily exported (such as MS Word and Excel). Reports in all of HdL's Software programs are easy to use with point and click Interface. Users will be able to extract current and historical data easily through our export feature. All exported reports can be set in a csv format and open easily with Excel. Daily Cash Receipts report is part of the standard listing of reports which are included as part of the software license fee. HdL Software, LLC Page 12 Request for Proposal—Business License Software City of Menifee, California April 15,2010 ON-GOING SUPPORT AND MAINTENANCE HdL will provide ongoing software upgrades and customer support by telephone, email and the web as needed by the City. Support services are available to the City during the first year warranty period and during any maintenance year for which the annual maintenance fees have been paid. In the United States, no charge support from HdL Software Is available as follows: For technical support between the hours of 8:00 am and 5:00 pm Pacific time, Monday through Friday, email help@hdlcompan!es.com or call HdL offices and ask for software application support. For technical support before 8:00 am or after 5:00 pm Pacific time, Monday through Friday (or anytime Saturday), email 911@hdlcompanies.com and an HdL staff member will be paged. Please only include your name, agency and contact#in emails to 911@hdlcompanies.com.You will be contacted as soon as possible. HdL Software staff includes experts in all relevant areas,including software, operating systems, networking,and hardware (printer/network/server/PC hardware). As such, we're able to provide extensive support; often detecting and resolving issues unrelated to the operation of our software during support calls. To ensure our support is comprehensive and easily accessible, we've invested in a remote access solution that requires no firewall configuration by IT staff and allows HdL staff to see exactly what the user is experiencing. This tool has increased our support efficiency,allowing more issues to be resolved immediately during the initial phone call. HdL tracks all support calls through our Client Database and Client Request forms so that we can monitor how we are doing with regards to our follow up, time spent with support and any issues that come up. This is done to constantly improve our customer support. Our technical and user support is what differentiates us from the competition. Every company claims their support is good, but we have the client base and the full reference list to prove it. Our dedication to support is unequaled in local government software. Support policy regarding reports. HdL provides a number of reports with the Installation of the business license software. These reports are developed using Crystal Reports and fall into one of two categories,standard or HdL custom developed. HdL provides support on standard and HdL custom developed reports, provided that the reports have not been modified by the client or other third party. As part of support, HdL will make minor modifications to reports as needed by the City. This includes change of logo, phone#, address, signatures, and minor text edits. Other report edits and modifications requested by the City are not covered under the Maintenance Support,and will be developed on a time and material basis at the current rate. Outside Connections to HdL database. HdL programs rely on the integrity of the database to operate properly. As such,it is critical that any outside connection to the database be implemented with HdCs full knowledge and participation. Only"read only"connections will be established to the HdL database. • No modifications will be made to the Hdl.database,including database/table design and data content. • Any repair work necessary due to violations of the above items will be outside the scope of normal contract maintenance,and as such will be billable to the client on a time and material basis. HdL Software, LLC Page 13 Request.for Proposal—Business license Software 1 City of Menifee, California Aprli 15,2010 f PROPOSED PRICING..DETAIL BUSINESS LICENSE SOFTWARE + 1 SERVII CES Price Comments r j `�'yYk� JVUfpQ �.13F l jlr�'!t'1.. r1r �t.P �sra�t'y 'F • `� � }y�l r cn{5 vrx t y ,y tt i+K1 r t n e "r' YN �N' cl w�%1 ly�r,�'�lA`2SrteCl I r i s l 3 t < r t ' •' YGkT T � F J r 1 I r . f] sJirll2,orntJ Based on actual costl i,s f� ANNUAL MAINTENANCE i � Price Comments on the Anniversmy of the"go live"date Year,War�qnty Pei iod Web I Module c 'a / f rF kkU� X}}YrOYfr}i'rt 6~se t s iJ 50 00 p+ f Ci tt _ r TOTAL }may `.i450t00r1�# r i "it ■ a if ■■ Ri.•ri $�i�.. 'i�r,. ':.� .i;l;:�i'C�'y;.,;�`�*. l.-;.,� ,'-:�=# S,:a , * Data Conversion: includes converting account, contact, and balance due information. If detailed fee history is desired,the cost for conversion will increase by$2,000. ? ** Web Renewal Module & HdL's Preferred Payment Gateway: HdL has selected Authorize.net as the i preferred provider for payment gateway and merchant account.services. The Authorize.net solution has proven to be reliable,full featured and cost effective for our clients. if the City wishes to select a different payment gateway, there will be.a development.cost of$5,000 to,esCabllsh the link. If requested by the City, i HdL will assess the gateway solution and provide an estimate of the development costs. **" Quadrant Cashiering System Integration: all for exporting payment data in a format accepted by the j Clty's finance/cashiering system. 1. Software License Fee. The license fee includes use of the software, three (3) concurrent user licenses, user guide manual on CD,and all standard forms and reports 2. Implementation. The implementation fee covers all efforts Involved for installation and configuration of the software. This Includes one session of pre-installation training and process evaluation, one session of "go live" HdL Software,LLC Page 14 r I Request for Proposal—Business License Software City of Menifee,California April 15,2010 training, installation support, design and programming of standard forms and reports, and configuration of the software including construction of rate and business type tables. 3. Travel Exoenses.Travel and lodging expenses are billed at cost and apply to all.process, pre-Installation, Installation, training,maintenance and troubleshooting meetings. 4. Land Management. The land management module allows users to import parcel information as new records are added to the database. There are four ways to populate the land management parcel data. Regardless of the source of the data,the City is able to import updated data at any time using the Land Management import utility. a. If the City is a client for HdL property tax services,the import is run from the land management utility. There is no cost. b. If the City is not a client for HdL property tax services, the parcel data may be purchased from HdL at 20C per parcel. c. If the City wishes to use any other parcel data set,and is able to provide the data in a format approved by HdL, the parcel data may be imported using standard functionality provided in Land Management. There Is no cost. d. If the City wishes to use any other parcel data set,and is unable to provide the data in a format approved by HdL, a re-useable utility can be developed to convert the parcel data into the proper format. The development of this utility will be billed on a time and material basis. Once the source data has been reviewed, a statement of work will be provided including a cost estimate. 5. - Data Conversion loationall. The cost is$2,800. Data conversion includes converting account, contact, and balance due Information and up to 30 hours of effort. Most conversions are completed within this time frame. If data conversion exceeds 30 hours,the City agrees to pay the programmer hourly rate for each additional hour. If detailed fee history is desired,the cost for conversion will increase by$2,000. 6. Additional Rate Category(optional). To establish additional rates(business improvement districts,fire,health, etc.) with separate fee tables,the cost is $3,000 per category if it uses the same renewal cycle as the standard rate. If it follows a different renewal cycle, then the new rate category must be treated as a separate license record for each business. 7. Quadrant Cashiering System Integration loptionali. This enables the financial data export module. The cost is $1,500. 8. Training(optional). The cost for additional training is: • On-site at the City-$1,200 per day /$800 per Y day • Off-site at the HdL Companies-$90 per hour • Via the Web-$90 per hour 9. Annual Maintenance and Customer Support Pee There is no charge for the first year of maintenance and customer support. The annual maintenance and customer support fee shall begin on the anniversary of the"go-live"date. The annual maintenance fee shall be adjusted at the beginning of each anniversary year following the first year of service. The adjustment shall equal the increase in the most recently published annual Consumer Price Index (as published by the Bureau of Labor Statistics) for the surrounding statistical metropolitan area, all urban consumers. Each maintenance fee adjustment shall not be less than two percent(2%)or greater than ten percent(10%). 10. Customizing Services The software is a table-driven system and has been developed to meet almost all of the needs of a City with regard to the management, processing and reporting of business licenses. However,should the need occur,HdL is available to provide custom enhancements to the software on a pre-determined time and material basis. No work shall be performed without prior written approval of the City. 11. Payment Schedule—Compensation for contract amount shall be due and payable as follows: • 50%within 30 days of the effective date of the Software Agreement. • 40% within 60 days of the effective date of the Software Agreement, or within 30 days of the "go-live" date; whichever is earlier. • Remaining 10%within 30 days of the"go-live"date. The maintenance fee will be invoiced each year on the anniversary of the"go live"date,and shall be due and payable within 30 days of the invoice date 12. Pricing Aglustments HdL Software,LLC Page 15 Request for Proposal—Business License Software City of Menifee, California April 15,2010 All pricing listed in this contract.will be honored through outdmplementatlon of the project. Any additional/optional services needed after the"go-live" date will be provided using the pricing currently established at the time the service Is requested. REFERENCES f - : "ZAl t i B g TV s. i conversion n tm tementatlon I a. HdL will convert the City's existing data. HdL will build a series of tables in the software including types,rate tables,fee tables,and codes. All parameters and lists-will be set up by HdL to conform to the City's business i rules. If the City files contain historical data;they will also.be inserted into the data set.. Geographical codes } will be assigned, consistent with those used in HdVs Sales Tax and Property Tax programs if the City is a client for those services. if rates or types change in the future, or new ones are created, the tables are maintainable.by the City. b. The City will designate a staff member experienced in the functions of the business license department that 1 may be.contacted by HdL staff to answer questions and clarify issues during the initial phase of building tables;lists and system parameters. c. The City agrees to provide its current data information In ASCII file format with a file layout detailing the content, format and size of the fields Included In the data set, This data will be required a minimum of two i times during the conversion process. The City understands that the second (and any subsequent)data set must be provided in the same format as the first data set. Any inconsistencies between the first and second F data sets will result in a delayed installation date and additional charges for conversion. j d_. The new data set created during this process will be verified and audited for Inconsistencies between existing data and the rate tables and type tables. e. The new data set and software application will be Installed on the City's network. If the City uses HdL's Sales Tax.and Property Tax programs, these programs will be integrated with the business license software at no additional cost. If the City Is not a client for HdVs Sales Tax and Property Tax programs, there will be a i Charge to Ilnk to another vendor's data set or for HdL to supply the data. Training Tralning.will be provided for the City staff. Trained Hd.L staff will be available for any follow-up needed, either by telephone or in person,.as part of our ongoing maintenance and support. Timeline The default timeline for complete implementation (including"Go Live")of the Business License software is approximately 45 days from the start of implementation. When the Software Agreement is signed by all parties,HdL will immediately work with the City to establish a specific implementation schedules for each system. The final timellne can range from 14 to 60 days. However,the City understands that this timeline will be conditional upon.meeting the requirements of the E implementation schedule. HdL Software,LLC Page 6 Kathy Bennett E)Q41,6 i i From: Marta Bonnin [MBonnin@hdicompanies.com] Sent: Monday, May 10, 2010 3:44 PM To: Kathy Bennett Subject: HdL Software Attachments: Web Module Info.pdf; 01-CLIENTS.doc Hello Kathy, Thank you for taking the time to speak with me last week about some questions you had regarding HdL Software. First, I'd like to address some items that came up in our conversation: 1. Link to Tyler Financial system: HdL has linked to many financial systems for many of our clients and we can definitely do the same for the City of Menifee if the'City chooses. The link or interface to any financial system would be an additional cost to the City but, because of the great reporting features of HdL's Business License Software, many of our clients have found that a direct link is not necessary. The built in daily cash receipts listing allows users to use the information to make quick journal entries into the City's GL. 2. Best of Breed: When it comes to Business License Software, HdL has set the standard because that it what we do best. We have the experience and knowledge to back up our software. Although there are many great financial systems out there, we have found (from speaking to our- clients) that their business license software leaves much to be desired. The ease of use of the program, the speed at which your staff can prepare analytical reports, the convenience of built in renewals, licenses and letters and the support of knowledgable staff that have walked in your shoes makes HdL the choice of over 235 clients throughout California. 3. HdL Prime: HdL is currently working on a big upgrade to the existing Software systems. Because we are almost ready for a big release, I can only give you a glimpse of what the new and improved software will do... A: No compromise internet based solution - forget about weak browser limited user interfaces with slow response times and ineffective keyboard.support. HdL Prime utilizes the full power of your PC and the latest Microsoft.NET framework to provide a full featured desktop user interface deployed over the internet. HdL Prime allows you the benefits of a web based solution without the compromises inherent in a browser bound application. So, if the City of Menifee is looking for a hosted solution in the near future, HdL Prime is your choice. B: Through HdL Prime, you can connect with customers via email; sending renewal notices and other needed communications. Your customers will be able to renew online, apply for a new license, pay a balance due, request or download additional copies of a form such as a current license, a letter or a renewal form, they will be able to update contact information and even upload additional required documents directly into HdL Prime. C: HdL Prime will support both hosted and on-premise deployment methods, so you can select the solution that best fits your agency's needs. D: HdL Prime facilitates a-team work, allowing departments to work together electronically withour requiring the typical forms and worksheets. Email notification to other departments such as inspectors or code enforcement officers. The inspectors can then retrieve their inspection schedule digitally while in the field and immediately record inspection results - you can say goodbye to daily paper inspections schedule lists, paper task lists and help your City by saving money, saving time and saving the environment "Go Green" 4. Upgrading to HdL Prime: I have been authorized to let you know that when HdL Prime is ready and the City would like to upgrade, we will definitely give you a discount on the costs. As we do not have total costs yet (although, they will be minimal), we can discuss this later on this year. 5. Hosting the software: Robert Gray, President of HdL Software, is currently working on a cost analysis report to come up with pricing for hosting the software for our clients. When this analysis is complete, we will pass this information on to the City of Menifee. 1 6. Purchasing Web Module with Business License: We are offering the City of Menifee a substantial discount on the Web Renewal Module because we understand that the City is just starting out. We believe this would be a great time to take advantage of this discount and purchase the Web Renewal Module together with the Business License program. This will not only assist the City staff with processing, it will also save time and money since it will eliminate the need to print and mail renewal forms to your taxpayers. I have attached more information that explains all of the savings to the City of Menifee. 7. Link to Sales Tax to find additional revenue: HdL Software is the only company that is allowed to link directly to HdL's Sales Tax Database. By cross indexing the Business License and Sales Tax databases, City staff will be able to find unlicensed businesses - this means more revenue for your general funds. It's easy, it's intuitive and it works. I hope I was able to answer the questions you had with regards to our software and why you should go with our system. That's why we have such happy clients - some right near you...Murrieta, Temecula, San Jacinto, Moreno Valley, Beaumont, Banning, Vista, Lemon Grove and many, many more. Attached is a full client list. Please let me know if I can help with any other questions you may have. Thank you for your time and I look forward to hearing from you soon. Sincerely, Marta A. Bonnin, CRO Sales Manager HdL Software, LLC (909) 861-4335 (888) 861-0220 mbonnin@hdlcompanies.com www.hdlcompanies.com HAL Software, LLC l eliveairrg efJ161eney to gowr+ament Please consider the environment before printing this email. 2 Em HdL Software, LLC MINIMUM Delivering efficiency to government April 15, 2010 Ms. Kathy Bennett City Clerk City of Menifee 29714 Haun Road Menifee, CA 92586 Re: Purchase of Business License Software only Dear Ms. Bennett, Thank you for the opportunity to respond.to the City of Menifee's RFP for Business License Software. As you are reviewing the proposals, please take note that we have combined the pricing for the Business License Software and the Web Renewal Module. The reason for this is that we could give you a substantial discount if the City chooses to purchase both at the same time. The cost for the Web Renewal Module is currently $12,750 so by purchasing them together, we are offering a discount of$7,250.00. Business License is currently listed at $19,500 yet we have discounted this by $5,000.00 to a price of$14,500.00 We are hoping that the City of Menifee decides to move forward with both systems to take full advantage of these discounts but, if the City chooses to only purchase Business License at this time, we will honor the pricing noted in the proposal for just the Business License Software - Software License fee of $14,500.00 plus $3,000.00 for implementation (plus incidental fees as outlined in the proposal which may include conversion ($2,800.00) if the City chooses to have HdL convert data). The annual maintenance for just the Business License Software would be $3,900.00 beginning in the 2"d year (as we do not charge for 1st year maintenance - this is included in the software license fee) Should you have any questions, please feel free to contact me. Again, thank you for the opportunity to present our software proposal to the City of Menifee and we hope to hear from you soon. Sincerely, M44. 30 Marta A. Bonnin, CRO, Sales Manager 1340 Valley Vista Drive,Suite 200, Diamond Bar,CA 91765-3910 Email: Sales@hdicompanies.com • Toll Free 888-861-0220 • Tel 909-861-4335 • www.hdlcompanies.com LIMHdL Software, LLC -i Delivering efficiency to government April 15, 2.010 Ms. Kathy Bennett City Clerk City of Menifee 29714 Haun Road Menifee, CA 92586 Re; Purchase of Business License Software only Dear Ms. Bennett, Thank you for the opportunity to respond to the City of Menifee`s RFP for Business License i Software. f S As you are reviewing the proposals, please take note that we have combined the pricing for the Business License Software and.the Web Renewal Module. The reason for this is that we could give you a substantial discount if the City chooses to purchase both at the same time. The cost for the Web Renewal Module is currently $12,750 so by purchasing them together, we are offering a discount of$7,250.00. Business License is currently listed at $19,500 yet we have discounted this by $5,000.00 to a price of $14,500.00 We are hoping that the.City of Menifee decides to move forward with both systems to take full advantage of these discounts but, if the City chooses to only purchase Business License at this time, we will honor the pricing noted in the proposal for just the Business License Software — Software License fee of $14,500.00 plus $3,000.00 for Implementation (plus Incidental fees as outlined In the proposal which may include conversion ($2,800.00) If the City chooses to have HdI-convert data). The annual maintenance for just the Business License Software would be $3,900.00 beginning in the 2"d year (as we do not charge for 11r year maintenance — this is included In the software license fee) Should you have any questions, please feel free to contact me. Again, thank you for the opportunity to present our software proposal to the City of Menlfee and'we hope to hear from you soon. Sincerely, MA Marta A. Bonnin, CRO,Sales Manager i 1340 Valley Vista Drive,Suite 200,Diamond Bar,CA 91765-3910 Email; Sales@ hdlcompanies.com • Toll Free 888-861-0220 • Tel 909-861-4335 • www.hdicompanies.com i